March 18, 2020
To our clients and community,
In response to the COVID-19 pandemic affecting our nation in unprecedented ways, the U.S. Treasury Department announced the IRS is postponing the April 15 income tax payment deadline by 90 days. Individual taxpayers may defer up to $1 million in Federal taxes, and corporations can defer up to $10 million. All deferrals will be interest-free and penalty-free. This postponement is for payments only, as tax filings uphold the April 15 due date. Taxpayers still maintain the right to request a filing extension.
Any income tax owed on Federal estimated income tax payments (including payments of tax on self-employment income), originally due on April 15 for the 2020 taxable year, will be postponed to July 15 as well.
Several states have started issuing guidance on the relief, however, Illinois is not expected to provide until the end of March.
If you have any questions on how this impacts you or your business, please do not hesitate to reach out to us. Our team is here to support you and is available via phone, email, and able to meet virtually. Please also remember CDH is now delivering tax returns electronically using SafeSend Returns which enables you to review your return, sign, and submit all from your computer or mobile device.
We hope everyone remains safe and healthy during this stressful time. We will continue to keep you updated and we thank you for keeping in touch with us as the situation progresses.
Dan Duncan, CPA
CFO & Tax Principal
Riki Shah, CPA
Naoko Lech, CPA